We are pleased to share this new white paper examining the IRS’s administrative waiver policy for deposit penalties related to stock-settled equity awards in today’s T+1 settlement environment. The paper explores the practical application of the policy and highlights key compliance considerations for employers seeking to manage payroll tax deposit obligations and reduce failure-to-deposit penalty exposure. Read the latest white paper here.
The Internal Revenue Service (IRS) and Treasury Department have issued proposed regulations (REG-101355-26) outlining the requirements for making employer contributions to Trump Accounts under Code section 128. The guidance provides the first comprehensive framework for employers interested in offering Trump Account contributions to benefit employees and clarifies several issues that practitioners have been debating since enactment of the One Big Beautiful Bill Act (OBBBA). The proposed regulations also modernize and clarify the nondiscrimination rules applicable…
On August 6, 2026, the IRS released Fact Sheet FS-2026-13, substantially revising and replacing FS-2026-01, its January 2026 guidance on the new deduction for qualified overtime compensation enacted by the One Big Beautiful Bill Act (OBBBA). The revised guidance reflects the transition from the temporary 2025 reporting relief period to a more formal compliance regime applicable for tax years 2026 through 2028. As a reminder, the IRS provided transition penalty relief for tax year 2025…
OverviewThe Department of Labor (DOL) issued Technical Release 2026‑02 on June 17, 2026, providing critical clarity for employers evaluating whether to offer contributions to “Trump Accounts” under IRC sections 530A and 128; contributions to Trump accounts could be made as of July 4, 2026. The guidance addresses a key open question flagged in our earlier post regarding whether these arrangements would trigger Employee Retirement Income Security Act (ERISA) plan status, which would implicate technical rules…
On May 19, 2026, the SEC issued Release No. 33‑11419, proposing a fundamental shift in the public company reporting framework. While the focus of the Release is on capital markets access and filer status simplification, the proposal’s disclosure accommodations would significantly reduce executive compensation disclosure requirements for many U.S. public companies. If adopted, scaled executive compensation disclosure requirements would apply to all non‑accelerated filers—an expanded category that would include approximately 80% of current public companies. All…
U.S. companies are increasingly electing or appointing non-U.S. tax residents to serve on their boards of directors. When doing so, it is important to understand the U.S. and foreign tax obligations and issues that can arise. Compensation paid to a director who is not a U.S. tax resident is subject to U.S. federal withholding and specialized tax reporting requirements that differ from those applicable to U.S. tax resident directors. Additional complexities may arise in determining the portion…
Overview Under the One Big Beautiful Bill Act (Pub. L. 119‑21), §530A of the Internal Revenue Code (IRC) has introduced Trump accounts—a new, narrowly tailored savings vehicle for children under age 18, generally structured as a modified traditional individual retirement account (IRA). While much of the early discussion and guidance, including the new proposed regulations issued by the IRS on March 6, 2026, has focused on Trump accounts themselves, as well as family and federal…
The One, Big, Beautiful Bill Act (OBBBA), enacted July 4, 2025, creates new tax deductions for tax years 2025 through 2028 for recipients of qualified tips and qualified overtime compensation. The OBBBA amendments to the Code generally impose information reporting requirements, such as on Form W-2 or Form 1099, on the payors of qualified tips and overtime in order for the recipients of such compensation to be eligible to take the deductions. However, for tax year…
As we approach the 2026 proxy season, Institutional Shareholder Services (ISS) has announced a variety of compensation-related updates to its 2026 benchmark proxy voting policies. Among the most notable changes are revisions to the Equity Plan Scorecard (EPSC) used by ISS to evaluate issuer proposals for shareholder approval of equity incentive plans. Under the policy updates, the EPSC will add a new scoring factor addressing individual award limits for non-employee directors and will penalize equity…
The One Big Beautiful Bill Act, enacted as Public Law 119-21 on July 4, 2025, introduces new section 4475,i which imposes a 1% excise tax on remittance transfers made after December 31, 2025. The provision was initially touted as one that “Makes America Win Again,” because it would affect only certain immigrants. As enacted, however, the excise tax applies equally to all individual taxpayers, whether US citizen, resident, or immigrant. It is unclear just how…